Chile hopeful of trade pact with India soon

Looking to increase bilateral trade with India, Chile is hopeful of having a comprehensive Preferential Trade Agreement (PTA) with India in the second quarter of this year.

Looking to increase bilateral trade with India, Chile is hopeful of having a comprehensive Preferential Trade Agreement (PTA) with India in the second quarter of this year.

Talking to FE, Andres Barbe, ambassador of Chile to India, said, “The trade agreement would be in interest for both the countries. Negotiations between the two sides were finished in 2014. However, in 2015, the Indian side had expressed some concerns over copper and also on rules of origin, but these concerns are being sorted out through talks. We want Chilean products to come to India and Indian products to reach our markets.”

“Almost 91% of trade between the two countries is in commodities, especially copper which is close to $1.7 billion, comes to India,” Barbe said, adding, “Since the PTA will include both goods and services, Chile has expertise in the services which we are keen on sharing with India.”

Since 2007, the two countries already have a preferential trade agreement (PTA), which covers about 400 items. But the bilateral trade has fallen to $2.87 billion. “In 2009, we agreed to start negotiations to widen the agreement, which would include new products, subject to tariff preferences, and deepening in matters related to rules of origin, sanitary and phytosanitary measures (MSF) and technical barriers to trade (TBT),” the diplomat added.